The Harvard Business Review has an article entitled: ‘Inside UPS’s Electric Vehicle Strategy’ in which it details how electric vehicles are now better value than gas or diesel burners on every measure.
Not only are they now the same initial price as the company’s existing vans, but they provide savings in every aspect of service.
In the HBR article Winston says:
“There’s a second part of the story that’s not being touted enough. These new trucks will create significant additional value for the business in ongoing operational savings, improved routing efficiency, and brand building. In short, the electric vehicles (EVs) are much better than just a break-even proposition.
These new EVs will cost less to run, use better technology to increase efficiency, and build intangible brand value for the company. How?”
First, the total cost of ownership will be lower.
Second, the higher-tech vehicles will operate more efficiently.
Third, there are brand benefits to this kind of innovation.